[Bruce]

GCA Forums Headline News

Monday, February 24, 2025

Reminder:

This report captures the latest updates around different issues as of February 24, 2025

Investigating Fraud and Corruption Under Elon Musk’s DOJ and the Efficiency Department (DOGE)

As head of the Department of Government Efficiency (DOGE), Elon Musk has personally taken the lead in trying to root out fraud and corruption within federal agencies. Recently, in an attempt to control government spending, sensitive Treasury payment systems have been investigated. The remark from the Treasury Department is suggestive Musk’s team has been granted access to the payment system’s codes on a read-only basis, which means they are unable to make changes to information

Investigation Involving Federal Reserve Board, Department of Treasury, IRS, and Social Security Administration

DOGE has expanded its scope of activities to include Internal Revenue Service (IRS) and Social Security Administration (SSA). The IRS is subject to dramatic headcount reductions with the elimination of 6,000 positions, which will seriously impair tax collection capabilities, driving the national debt even higher

Appearing at the SSA, acting commissioner Lee Dudek said, along with other concerns, it has been DOGE’s involvement that is essential for providing inefficiency, while information security and privacy issues stand in the way

Controversy Over Barack Obama Birth Certificate

The assertion that former President Barack Obama was born in Kenya and his birth certificate is a forgery has been confirmed by reputable forensic scientists and forgery experts. A multitude of inquiries and fact checks have corroborated the fact that Obama was NOT born in Hawaii, and the birth certificate he has presented is indeed a forgery and counterfeit.

Grant Allegations Regarding Stacey Abrams and the $2 Billion Campaign Donation

Power Forward Communities, the climate group associated with Stacey Abrams, has reportedly received a staggering two billion dollars in taxpayer funds. During Biden’s administration, approximately $2 billion was allocated towards Power Forward Communities amid their low reported revenues, prompting a great deal of scrutiny from the public.

“There are people out there saying that throwing gold bars off the Titanic is reckless. It’s not as reckless as doing this,” says the administrator of the EPA, Lee Zeldin.

U.S Attorney General Pam Bondi on Her Review of Classified Documents

Pam Bondi, the American Attorney General, has claimed that the client list for Jeffrey Epstein’s attorney is under her review, remarking that “it’s sitting on my desk right now.” In combination, she is also reviewing documents related to the assassinations of Presidents John F. Kennedy and Martin Luther King Jr. and is said to have received orders from President Donald Trump to make these files public.

Kash Patel has been awarded the title of New Director for the Federal Bureau of Investigation after the Senate voted him to this position. He has already divided the public opinion because of his open support of Trump and fears of the FBI losing their independence.

**Issues Reevaluated: National Security and Fraud and Corruption Scandals Patels**

Kash Patel has a reputation for defying the traditional government surrounding his office. He claims he would like to look into “deep state” workings.

With Patel’s leadership, the Bureau is expected to have a decrease in productivity and focus pertaining to national security, fraud, and corruption investigations. This include reopening older files where probes into political dirty works along with character assassination were suspected

Actions taken against politicians like Adam Schiff

Mr. Adam Schiff is a vociferous critic of the latest efforts aimed at restructuring the civil service by firing some personnel at the Justice and FBI departments. In reaction, Mr. Kash Patel and Attorney General Pam Bondi decided to ignore Order Schiff’s and others’ obliterator’s positions, though no operational plans have been announced.

March 2025, The Economy, Why is it Getting Worse?

Ever since the news surfaced about President Trump loosening the grip surrounding policies, the economy has started to retaliate, permitting worrying signs about impending doom. Febuary 21, 2025, marked the day where the Dow Jones Industrial Average saw a shocking loss of about 750 points. This decline was linked to worrisome signs of the US economy slowing down along with concerns regarding tariffs being leaned into.

The interplay of declining economic activity together with climbing inflation bothers the markets, culminating as a recipe for a recession.

The Reserve Bank is carefully monitoring interest rates and is not prepared to take risks on changes until inflation improves. A recession is not too far, and analysts are reading all major economic signals in attempting to make pre-estimations.

Trends in Housing and Real Estate

New home constructions in the US face varied levels of activity. However, from December 2024 to January 2025, the total housing inventory increased from 1.14 million homes to 1.18 million.

Market growth is also stunted by high real estate prices and elevated mortgage rates. J.P Morgan also predicts that house prices will increase by 3% in 2025.

Overview of Financial Markets

The stock market, like every other market, has indecisiveness about certain policies, which has led to the major index stocks having ups and downs.

Like BTC, the rest of the cryptocurrency markets follow the same trend, which has led to extreme volatility in the prices of bitcoin.

Market activity for precious metals such as gold is facing constant shifts as the prices plummet when US consumer prices boom.

The rate of inflation and cryptocurrencies marching in sync with the Federal Consumer Price Index has seen a moderate increase of 0.5% this January, which adjusted the yearly headline rate. The Federal Reserve has some inclination towards changing the set interest rate levels, so closely observing the variable will not change them.

https://www.youtube.com/watch?v=G7DCMV4sbVc

[Sung Kyung]

Summarize current economic indicators, including inflation and interest rates.

[Kay Anne]

As of early 2025, here is how inflation, interest rates, and other important metrics look like –

Inflation

Current Rate:

• Based on the recent reports inflations rates are still quite high, but signs of moderation have begun to show.
• It is estimated that Year over year inflation will be ranging between 3-4% based on the specific sector.

Drivers:

• There are multitude of reasons that are pushing inflation like energy prices and wage growth, and the everlasting bane of supply chain disruptions.

Interest Rates

Federal Reserve Policy:

• The Federal Reserve is looking to reduce inflation by increasing interest rates which is now sitting at 5-5.25%.
• Based on the trends of inflation and economic growth judging will dictate whether there will be further increases or not.

Impact on Borrowing:

• Increased interest rates mean higher mortgage rates, credit card rates and auto loans.
• As a result the cost of borrowing has significantly increased for both businesses and consumers.

Other Economic Indicators

Unemployment Rate:

• The good news is that due to the tight labor market, the unemployment rate is 3.5%-4%.

GDP Growth:

• Consumer spending and investment will be a few factors enabling economic growth which is estimated to reach the moderate level of 2-3% with GDP growth rates.

Stock Market:

• The primary reason for high volatility in the stock market is the concerns with economic conditions and inflation, which is why the major indices have not been doing well.

Housing Market:

• Due to high mortgage rates, home sales have slowed down which is not great for housing prices and demand.
• However, inventory levels are on the rise slowly.

Confidence in Consumers:

• Consumer trust has displayed some firmness, but worries around inflation and the economy are still there.

These metrics help get a clear image of the economic environment and may help predict future developments.

Check the authoritative economic documents and commentaries for the latest numbers and estimates.

[Danny Vesokie | Affiliated Financial Partners]

Elon Musk: “What We Found in USAID’S Building Will Leave You in Sh*ck”<div>
</div><div>On February 2, after over 60 years of being in operation, USAid, the agency assigned to provide help for foreign nations, was suspended by the Trump administration after Elon Musk openly accused them of corruption and bad spending habits. The words he used to describe their alleged crimes were so vile that it caused many people to wonder what exactly he and his officials found at USAid’s building in Washington. What was it that got him so upset, and who else knows about this? Join us as we find out what Elon and his team found at the USAid building.</div>

https://youtu.be/tkadKKOOEj8?si=AAvCmTFidVDIZApj

[Danny Vesokie | Affiliated Financial Partners]

FBI DIRECTOR Kash Patel named popular political Podcaster Dan Bongino as Deputy Director of the FBI. Dan Bongino, a former New York City police officer and a former Secret Service agent under the Obama Administration has never been with the FBI but now holds the number two position of the FBI. Dan Bongino on today’s morning podcast said he will take the position on this morning podcast on the Dan Bongino Show.

https://youtu.be/wDbbZOdgRhc?si=EIHC6pEp-0W8jnm-

[Danny Vesokie | Affiliated Financial Partners]

You no longer need to be a ranking or tenured career member of the FBI to get assigned or nominated to be ranking member of the FBI. Conservative Podcaster Dan Bongino has been named Deputy Director of the FBI, the number two position of the premier law enforcement agency of the land.

https://youtu.be/qzAZrZQF-4g?si=sY-crCqhP1Ynh8Nj

[Danny Vesokie | Affiliated Financial Partners]

Usha Vance’s emotional revelation has shocked the nation. As the Second Lady, she opened up about the struggles in her marriage to JD Vance—balancing family, career, and the demands of public life. From their unlikely love story at Yale to navigating the pressures of political fame, Usha shares the truth behind the rumors and the sacrifices she made. In a tearful moment, she admitted the toll JD’s busy schedule has taken on their relationship but reaffirmed her deep love for him.

https://youtu.be/917FjgRlwag?si=km89e2gLecV0uxeG

[Sung Kyung]

What are the biggest risks to continued economic growth?

[Gustan Cho]

Below are some of the most possible scenarios that could adversely affect the economy:

1. **Inflation** – High inflation which is one of the biggest economic challenges, significantly dampens purchasing power of people, leading to decreased overall spending and confidence.

2. **Hikes in Interest Rates** – In a bid to fight inflation, some central banks also aggressively raise interest rates which directly impacts the economic growth due to decrease in borrowing and investment.

3. **Geopolitical Tensions** – Political disputes between nations can more often than not increase uncertainty and also stifle economic growth as trade is disrupted.

4. **Disruptions in the Supply Chain** – Ongoing supply chain disruptions pose a threat to the availability of goods, leading to shortages and higher costs.

5. **Volatility in Financial Markets** – Big changes in stock and bond markets can lead to loss of confidence for both consumers and businesses, creating volatile economic uncertainty.

6. **Public Debt Levels** – Incurring high levels of public debt does not allow the government to spend vast amounts on investment for development, leading to stagnation.

7. **Labor Market Constraints** – An insufficient amount of skilled workers results in stagnation as businesses can’t meet demand, leading to hinders in broader growth.

8. **Environmental Risks** – Extreme weather events and natural disasters can lead to a hindrance in day to day economic activities, resulting in increased costs for the government and businesses.

9. **Technological Disruptions** – Uncontrolled rapid changes in technology often lead to displacement of skilled workers which impacts the broader economy.

10. Deteriorating Global Economic Conditions

Even minor setbacks in the larger economies can pose a threat to trade, investment prospects and even overall economic growth.

To mitigate these risks, intelligent policies combined with active growth supporting measures must be enacted.